Overpriced Property Deters Two Thirds Of Homebuyers

Date Published 11 October 2012

Rightmove’s research, carried out as part of its Market Intelligence campaign, finds that only 38% of home-movers would actually go and view a property they consider to be over-priced before deciding whether to put in a lower offer, even though sellers often price with a view to negotiating downwards.

Rightmove director Miles Shipside advises: `It can be tempting for sellers to price high on the assumption that they are giving themselves room for negotiation. However, our findings indicate that this can be a risky business and is likely to deter some six in ten potential buyers who might otherwise have visited the property without hesitation. Price is obviously a critical issue for both buyers and sellers in the current market, but it’s much harder for a potential buyer to fall in love with a property if the asking price deters them from even setting foot through the front door. After a lull in activity over the summer, and with less than 100 days until Christmas, sellers will need to gather the right market intelligence and think carefully about their pricing tactics if they are to stand the best chance of moving during this autumn season.`

Among the 62% of respondents who would not go and view a property they felt was over-priced, 20% stated they would make an enquiry to the estate agent to find out if the vendor would accept offers under. This would indicate that, for sellers, prior discussion with your agent about how much you are prepared to negotiate is important.

Shipside adds: `Pricing appropriately for your target market is a major part of the equation when it comes to enticing buyers in. We urge sellers to do their homework and research comparable house prices so they have all the intel before they come to sell. Sellers are also advised to remember that the property must also be presented to showcase its full potential and to work with their agent to promote it well to attract as much interest as possible.`